TAXI MAGAZINE WINTER 2021

2021 Winter Edition #68

www.taximagazine.co.za This edition is proudly brought to you by:

Retail Price R24,90 (VAT included)

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CONTENTS 9

Revised Taxi Recapitalisation Programme

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Did you know

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CTU Brings fuel cost relief to the Taxi Industry

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7 Simple ways to save money as a Taxi Operator

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Taxi Operators Reject Polokwane Bus Project

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The Difererent types of Life and Disability Insurance

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Mercedes-Benz CLS gets a Nip and Tuck for 2021

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You can Kill me if we don’t qualify for AFCON 2023

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Khunene to step Aside

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Talk to Lloyd

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5 Energy Boosting Foods

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A1 The taxi industry is prepared to pay more taxes, according to the South African National Taxi Council.

This following SARS’ concern about tax avoidance by the minibus taxi industry.

Only R5-million in corporate income taxes was collected from them in the last tax year.

“The taxi industry is willing to cooperate with the government,” said Santaco spokesperson, Thabiso Molelekwa

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“In fact, the statement made by the minister comes at a time when we had a management council Santaco [meeting] that resolved that Santaco, the Minister of Finance and the Commissioner of SARS for the leadership of Santaco to engage on the broad issues related to SARS in the taxi industry.”

REVISED TAXI RECAPITALISATION PROGRAMME MINISTER FIKILE MBALULA

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t the dawn of our democracy, the first ANC Administration approved the final recommendations of the National Taxi Task Team, which set the scene for the introduction of the Taxi Recapitalisation Programme. The strategic objective of this programme is to address the underlying economic circumstances of the industry, where it finds itself on the fringes of the economy as a hand to mouth business unable to recapitalize itself. While the industry committed to formalize its operations and subject itself to regulation, government committed to a package of economic assistance interventions. It is for that reason that the Taxi Recapitalisation Programme remains the flagship of successive ANC Administrations and a demonstration of our commitment to uplifting the taxi industry.

After a break of 1 year, we are pleased to announce the resumption of the scrapping of old taxi vehicles.

The Department has appointed a company, Anthus Service 84, through a competitive bidding process, to provide operational management of the scrapping process and establish scrapping sites in all the Provinces. In repackaging the scrapping administration, we have ensured that the taxi industry directly benefits from this process.

The administration of this process will be undertaken through a special purpose vehicle, a company to be jointly owned by Anthus Service 84 and the taxi industry. The taxi industry will own 60% of this new entity and the proceeds derived from the project will be channeled to a Taxi Development Trust. The Department continues to negotiate with SANTACO, a taxi industry representative body, on the institutional arrangements that must ensure that every operator in the industry is able to benefit.

At the heart of the programme is ensuring that vehicles used to ferry commuters meet the safety standards. In enabling the effective phasing out of unsafe vehicles and introduction of those that meet the safety standards, government provides a capital subsidy in the form of a scrapping allowance.

A total number of 1 464 applications for scrapping of old taxi vehicles have been received and processed. The process of scrapping 1 000 illegally converted panel vans has begun, and this will be followed by scrapping the other vehicles whose applications for scrapping have been successful.

This allowance is only accessed by those who voluntarily surrender their vehicles that meet a predefined criteria to be scrapped.

Our commitment to uplifting the taxi industry has never wavered, and we are determined to create opportunities for them to grow their business.

However, in doing so the industry must deliver on its end of the bargain and ensure their members adhere to regulation and contribute to the country’s tax base like any corporate citizen.

For more information on the revised Taxi Recapitalization Programme please call 0860 159 159

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Did you know?

THE SOUTH AFRICAN TAXI INDUSTRY IS ESTIMATED TO HAVE A TURNOVER OF MORE THAN R16,5 BILLION. THE MINIBUS TAXI INDUSTRY IN SOUTH AFRICA IS COMPRISED OF MORE THAN 20 000 OWNERS AND 200 000 EMPLOYEES.

COMMUTERS ARE RELYING EVEN MORE ON TAXIS

Taxi financier, Transaction Capital, which reported its six-monthly results to end-March on Wednesday, said the Covid-19 pandemic had helped the taxi industry to remain relevant. In contrast, other modes of transport, most notably busses and trains, struggled.

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The company said more commuters were using taxis at levels exceeding pre-Covid numbers.

he Department of Transport wants more South Africans to use trains and buses as their mode of transport, but commuters are relying even more on the minibus taxi industry.

“With bus and rail services floundering during the Covid-19 pandemic, this shift is likely to continue,” the company told investors.

Bus use has declined by 28% since 2013 and train use by 64%, while taxi use has increased by 16%.

The department has ambitions to overhaul the country’s passenger rail system and expand the bus rapid transit network.

Over the past eight years, commuter use of bus and rail services has shown a sharp decline, with more people choosing to use taxis because of convenience and accessibility, according to data published by StatsSA in the National Household Travel Survey.

Despite the government’s push for the public to utilise alternative transport options, South African commuters are increasingly relying on the minibus taxi industry for transport.

Over the period, bus use has declined 28% and trains by 64%. Taxi use has increased 16% during the same period.

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The company’s SA Taxi Division, which funds and insures the taxi industry, grew gross loans and advances by 16% to R13.2 billion amid strong demand for new and pre-owned vehicles.

The demand from taxi operators was in line with pre-pandemic levels and was higher than supply, the company said.

Transaction Capital said the pandemic proved and highlighted that the taxi industry, which provides 15 million trips a day, is indispensable.

The government is trying to change that and has been working on interventions to increase other public modes of transport.

Its major plans include expanding the bus rapid transit (BRT) network and overhauling the rail system.

One plan is to shift more passengers from road to rail. It is looking at reforming South Africa’s rail system and making it more effective, efficient, and competitive.

In February, transport minister Fikile Mbalula said the department is working on a new rail policy and legislation to support and facilitate investment in rail infrastructure, modernisation, and technology. It is also working on safety and economic regulation and wants to facilitate private sector participation.

The department also implemented a “re-imagined taxi recapitalisation programme” that will focus on taxis and buses. Part of its plan is to expand its integrated public transport networks in 10 cities, expected to be expedited within the “context of the revised technical norms and standards for the bus rapid transit (BRT) system,” Mbalula said.

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“National Treasury and the Department of Transport, through the Cities Support Programme, is working closely with cities to improve implementation capacity,” he said at the time.

In its financial results, Transaction Capital projected that the industry is likely to feel pressure as a result of increasing fuel prices, this may spur operators to push up taxi fare for passengers.

The industry, which only pays R5 million in corporate tax, may also soon be compelled to comply to a new tax regime.

Finance minister Tito Mboweni in a written response to question said Treasury is concerned by tax avoidance by the taxi industry.

“SARS has commenced a process of developing a compliance plan for the taxi industry to encourage voluntary compliance and potentially propose the appropriate tax regime specifically for the industry. This work will be concluded in the 2021/22 financial year,” he said.

CTU BRINGS FUEL COST RELIEF TO THE TAXI INDUSTRY

By Content Provided

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More than a year after South Africa first went into lockdown, and even in 2021, many taxi owners are still running at half of their pre-Covid occupancy levels.

o provide relief to taxi owners currently affected by rising fuel prices and reduced commuter numbers among other factors, Clarendon Transport Underwriting Managers (CTU) has partnered with various fuel retailers to create a first of its kind offering aimed specifically at taxi drivers and owners.

The Covid-19 pandemic and consequent restrictions that have instigated to help curb its spread made 2020 a tough year for every sector and the minibus taxi industry is no exception.

• CTU clients to save up to 70c per litre on diesel and 13c per litre on petrol • Clients to get huge savings on operating expenses • Access to the electronic fuel management system •An efficient fuel management system that enables programme members to track their deposits, transactions, vehicle consumption and savings.

•CTU-Fuel members will also have access to a monthly statement that can be used for tax purposes, and no longer need to keep fuel slips.

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Business development consultant at CTU Oscar Shabalala concluded by saying, “As a trusted partner to the taxi industry for almost 30 years, CTU is offering this initiative to assist the industry during these challenging times.

The intention is to offer some financial relief to CTU clients, as well as the whole taxi industry, as the savings will ultimately be passed down to commuters. CTU-Fuel is looking into partnering with all leading fuel retailers in the country.”

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TAXI OPERATORS REJECT POLOKWANE BUS PROJECT

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isgruntled taxi operators in Polokwane, Limpopo, have vowed to disrupt the integrated public transport system which is set to be launched in June this year.

They were speaking after Polokwane mayor Thembi Nkadimeng yesterday hosted the chiefs of Leeto La Polokwane, the municipality bus system that will ferry passengers throughout the city on a low-cost trial run.

The taxi bosses say the municipality failed to consult and involve most of them when it launched the consultative programme in 2013.

Speaking to Pretoria News yesterday, a taxi tycoon who did not want to be named for fear of victimisation, but who owns taxis that ply the Polokwane to Seshego route, warned that if the municipality continued with the project there would be violence and unrest in the City’s transport system.

“They need to think twice about what they are doing. The municipality has the audacity to choose a few taxis and a few drivers to join Leeto La Polokwane while they are taking customers away from us. What about the rest of us?” asked the taxi boss, who represented a group of taxi owners.

“From the start we have not been against this project, but we feel we were not involved in the choosing of who should submit their names and taxis to be absorbed into Leeto La Polokwane.

So we will never let these buses start working because they will be taking bread out of our mouths.”

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The project is supported by the national Department of Transport.

At least 13 municipalities, including Polokwane, the City of Joburg and Tshwane, have benefited from the programme and have fully-fledged rapid bus transit systems.

Leeto La Polokwane is equivalent to Rea Vaya in Johannesburg and A Re Yeng in Tshwane.

In Polokwane, the municipality partnered with the three affected taxi associations who have since formed a company which will operate the bus service on behalf of the City.

They are the Seshego Polokwane Taxi Association, Flora Park Polokwane Taxi Association and Westernberg Taxi Association.

They all surrendered some of their taxis to the municipality in order to get compensation and to kick-start the bus service.

Chairperson of the operating company, Solly Ledwaba, said: “This negotiation process started in 2013 with extensive engagement processes with the municipality.

“Our philosophy is that this system is important for the growth of the industry. We all signed a memorandum of agreement which acknowledges that not everyone will be on board as this would be achieved by an incremental approach. We just have to develop a way of how to include those who were left out.”

However, the disgruntled taxi bosses rubbished Ledwaba’s statement, accusing him of receiving money from politicians.

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They said: “Don’t tell us about those people. They have been receiving left-overs from politicians and we get nothing. They need to look at us as human beings and treat us fairly.”

Speaking at the trial run, Nkadimeng said: “We all know there are challenges in the taxi industry.

Some are taxi drivers and owners who are not part of the taxi associations, some have parallel associations. At the end of the day we are trying to say the system is conforming to the parameters of the transport department.”

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SIMPLE WAYS TO SAVE MONEY AS A TAXI OPERATOR 1. Record your expenses. The first step to start saving money is to figure out how much you spend.

2. Budget for savings.

3. Find ways you can cut your spending.

4. Decide on your priorities.

5. Pick the right tools. ...

6. Make saving automatic.

7. Watch your savings grow.

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MERCEDES-BENZ CLS GETS A NIP AND TUCK FOR 2021

By Content Provided

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he Mercedes-Benz CLS ‘coupe sedan’ has been given a subtle refresh for 2021, which includes a sharper exterior design and a few improvements inside.

The engine line-up carries over largely as before, although it’s worth mentioning that in March the company introduced a new CLS 300d 4Matic turbodiesel model featuring a 195kW 2-litre engine and a mild hybrid system that adds an While there are no radical alterations on the extra 15kW worth of electric boost. In international outside, the grille and front bumper have been markets Mercedes also offers a CLS 200d with reshaped and there is a fresh range of alloy 143kW and a six-cylinder CLS 400d with 243kW, wheel designs, also available in a variety of while petrol options include the four-cylinder CLS colours, including high-gloss black, depending on 350 with 220kW, the six-cylinder CLS 450 4Matic the package chosen. What’s more, those models that producers 270kW and this variant also gets equipped with the AMG Line Exterior gain unique a 16kW mild hybrid boost, as does the CLS 53 AMG-specific styling components, including a 4Matic AMG derivative, which carries with a front apron with black trim and aerodynamically 320kW version of the aforementioned 3-litre shaped flics in high-gloss black. turbopetrol engine.

Inside the CLS receives a new steering wheel The South African engine range will be announced design in Nappa leather and with high-gloss black closer to launch. spokes with silver chrome edging. Two new trim finishes, also applied to the centre console, are available in the form of open-pore brown walnut and high-gloss grey wood. The range of leather seat upholsteries has also been expanded, with Neva Grey/Magma Grey and Sienna Brown/ Black joining the catalogue.

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YOU CAN KILL ME IF WE DON’T QUALIFY FOR AFCON 2023: BAFANA COACH

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Broos however insists that Bafana will be at the continental spectacle in 2023.

ecently-recruited South Africa national team coach Hugo Broos has promised the country’s ever-demanding faithful that he will lead his charges to AFCON 2023, saying they can kill him if he fails to do so.

“If we are not qualified for that, you can kill me. I know this country is looking forward to success,” he was quoted as saying by Ghanaian publication Ghana Soccer Net.

The Belgian tactician replaced sacked Molefi Ntseki in the Bafana Bafana dugout after SAFA had wielded the axe on the latter following a dismal campaign which saw the team missing out on a place at the next AFCON finals in Cameroon in January.

“When rebuilding, there are always moments of weakness, so it can happen that we will not qualify for the (2022) World Cup. That said, we will do our utmost to reach Qatar,” Broos added.

HUGO ROOS

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KHUNE TO STEP ASIDE?

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And there are suggestions of a clearly thought out plan for Chiefs’ goalkeeping department, led by Lee Baxter, with Bruce Bvuma and young Karabo Molefe still very much part of the club’s bigger picture.

aizer Chiefs could be ushering in a new era as far as the club’s goalkeeping department is concerned – veteran Itumeleng Khune could be taking a back seat.

That’s if he stays, with plenty doubt still surrounding his future as he enters the final month of his Amakhosi contract.

What’s certain is that Khune is in the twilight of his career and Amakhosi, where he arrived aged 13, realises it’s time to elevate his long term successor!

Petersen was signed last year after leaving Bidvest Wits, but was unable to officially reunite with Gavin Hunt because of the FIFA transfer ban.

The Siya crew lifted the lid on conversations at Naturena about what role Khune will play with Petersen expected to step up…

Although a reliable insider at Chiefs has informed the Siya crew that the club has a one-year option on Khune’s current deal and have every intention of triggering it to prolong his stay, it’s understood he isn’t likely to be the No.1 keeper.

Neither is Daniel Akpeyi, who has battled Khune in being selected as first choice for more than two years now.

The Nigerian has one more year left on his contract and being 35 next season will be a factor in determining whether he is offered an extension.

BUCS AIMING TO KEEP CAFCL HOPES ALIVE

Indications are that the Glamour Boys will look to 26-year-old Brandon Petersen as the preferred choice between the poles, but sources at Naturena maintain that Khune could very well gradually hand over the reins.

ORLANDO PIRATES WILL BE AIMING TO KEEP THEIR HOPES OF CAF CHAMPIONS LEAGUE QUALIFICATION ALIVE AS THEY FACE STELLENBOSCH, WHILST SECOND-PLACE AMAZULU ARE ALSO IN ACTION. Pirates are currently eight points behind the high-flying Usuthu and one point behind thirdplaced Golden Arrows but do hold a game in hand over the KZN-based clubs.

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With two wins in their last five league games,zthe Soweto giants have suffered a blip of inconsistency of late but their 3-0 win over Black Leopards is likely to give them a boost of confidence.

Meanwhile, their opposition, Stellies, are in real danger of falling into a surprise relegation dogfight as the season reaches its final run-in.

An eight-match winless streak for Steve Barker’s men has left them in a precarious spot with just one point above the relegation play-off spot.

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Talk2Lloyd HAS THE ANSWERS TO ALL YOUR MOST TAXI INDUSTRY QUESTIONS.

Need advice? E-mail to: lloyd@loyisomedia.co.za or SMS or WhatsApp to: 082 689 4588

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Talk2Lloyd HAS THE ANSWERS TO ALL YOUR MOST TAXI INDUSTRY QUESTIONS.

Need advice? E-mail to: lloyd@loyisomedia.co.za or SMS or WhatsApp to: 082 689 4588

Answers: Dealing with Customers While some customers might be aggressive or use provocative language, it’s best to not engage if possible. Ask your taxi boss to provide safety training on how to recognize, avoid, or calm potentially violent situations.

Question: Hi Lloyd, what advice can you give me as I want to be a healthy taxi owner and with good image for my passengers? Phiri Mokwena in North West

Some simple tips to follow: Do not chase after fare evaders.

Do not resist a robbery. Let robbers take your money.

Do not accept passengers who cannot provide a destination.

Notify a dispatcher or another driver immediately 1) when picking up a passenger; 2) if passengers change destinations once they’re in the taxi; or 3) if driving to certain areas feels potentially unsafe.

The taxi driving profession unfortunately sees a high rate of workplace violence.

Ask Lloyd aims to reduce these risks and keep taxi drivers safe from assault, robbery, and violence.

Talk2Lloyd is proudly sponsored by:

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Foster Toyota

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5 ENERGY BOOSTING FOODS TO SNACK ON IF YOU’RE FEELING SLUGGISH Do you get enough sleep but still feel exhausted?

I do, and I’ve always been curious as to why. Snacking on unhealthy snacks like chips or chocolates, it turns out, can make us feel sluggish and unproductive. Experts suggest that snacking healthily helps boost your energy levels.

Here’s how you can snack smarter to avoid feeling sluggish:

Spinach Spinach is a top source of iron. Iron transports oxygen to different parts of the body to keep your organs alive.

It is also an essential nutrient for the maintenance of red blood cells.

When iron is available to replenish red blood cells, you will feel more alert and energised.

Eggs Eggs are an excellent way to replenish your energy when you’re feeling sluggish. They’re high in protein, which gives you a steady supply of energy.

They contain vitamin B, which aids in the digestion of food for energy. They also have amino acids for the restoration of muscle energy.

Bananas Bananas contain natural sugar and all-natural fibre.

They contain potassium and vitamin B6 which are natural energy boosters. They are a convenient and cost-effective choice for gaining a quick burst of energy.

Fatty Fish The omega 3s in fish reduce inflammation and fatigue.

Brown Rice

Vitamin B and folic acid which are found in fatty fish are your source of energy.

Brown rice has low fibre content and a low glycemic index. It will help regulate blood sugar levels and keep your energy levels consistent throughout the day.

Other carbohydrates that are energy-boosting are quinoa, beans, nuts and oats.

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DATES AND VENUE DETAILS WILL BE ANNOUNCE SOON MORE INFO AND EXCLUSIVE PARTNERSHIP OPPORTUNITIES EMAIL TO: INFO@LOYISOMEDIA.CO.ZA

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THE DIFFERENT TYPES OF LIFE AND DISABILITY INSURANCE

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he life insurance market is very different from what it was 50 years ago, with a far wider range of choices for the consumer. Although life cover has not changed to any degree, disability cover has become more complex and varied, and dread disease cover is a relatively new addition to the product range. The trouble with greater complexity is that it is more difficult for consumers to compare products regarding value for money and suitability.

Group risk versus private cover

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f you are permanently employed and belong to a retirement fund, a portion of your retirement fund contribution may go towards group risk cover: life and disability cover for all the employees in your company. The employees are not individually “underwritten”, meaning that each individual is not assessed on his or her particular risks, such as age and health. All employees on the same salary level will pay the same premium, whether they are young or old, healthy or unhealthy.

Group life cover is normally a multiple (for example, three or four times) of your annual salary. It’s likely you will need to supplement your group cover with private individual cover.

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Underwritten versus non-underwritten cover

ome insurance companies offer products with no or very little underwriting. You do not have to go for a medical check-up and there is a very short list of questions about your health. This type of cover is often more expensive than a fully-underwritten policy, which requires you to answer a long list of medical questions and to go for a medical examination by a doctor.

It may also have more onerous conditions: for example, you may not be able to claim within the first six months. Don’t think that, because you don’t have to go for a medical, you can get away with hoodwinking the insurance company by not being truthful in answering any health questions. If you claim, the insurer will investigate your medical history, and will reject the claim if it finds you did not disclose a serious health condition, such as diabetes or asthma.

Accidental versus comprehensive cover

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ccidental cover is far cheaper than comprehensive cover because it only covers you for death or disability as the result of injuries from an accident or other unnatural causes, such as assault or murder. Most people die from natural causes connected with their health, which are not covered under an accident policy. Accidental cover may supplement your comprehensive cover, but it should not be a substitute for it.

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Life cover

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his type of cover pays out a lump sum when you die. The payout is made to the beneficiaries named on your policy, such as your spouse and/or children. Life cover is not essential to have if you are young and single, except to cover any debts you may have; it is designed to give families financial protection if the breadwinner is no longer alive to provide for them. However, the older you are when you take out life cover, the higher your premiums will be.

Disability cover

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his kicks in if you are temporarily or permanently disabled, through either injury or illness, and you are not able to work. It comes in two forms: lump-sum disability cover, which pays out a lump sum; and income protection cover, which pays a monthly income for the duration of your disability.

Some financial advisers say disability cover is more important than life cover, because the chances of you becoming disabled during your working career are higher than you dying. Unlike life cover, it’s essential to have when you are young and single: you are protecting your future earnings for the rest of your working life.

Disability is typically defined in relation to whether or not you are able to do your job. For example, losing a leg in a car accident will not prevent you from doing your job if you work at a computer, but it will prevent you from doing your job if you are an aerobics instructor.

Dread disease cover

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lso known as critical illness cover, this pays out if you contract a life-threatening illness such as heart disease, cancer or stroke. Some policies extend cover to diseases such as multiple sclerosis and Alzheimer’s. The purpose is to supplement your medical cover and to pay for expenses that your medical aid will not cover, such as special equipment you may need. The policy will pay out a percentage of the total sum insured depending on the severity of the disease: for example, it will pay out 25% for stage-1 cancer, increasing to the full 100% at stage 4.

Funeral cover

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his covers you, and possibly also members of your immediate family, for funeral and related expenses on death. It is normally for a relatively low amount - R100 000 or less - and will pay out quickly, within a couple of days, so that the funeral can proceed. For the amount of cover you get, the premiums are high compared with underwritten life cover, though the latter may take a little longer to pay out. It should not be used as a substitute for life cover.

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